9911796707
TMI Blog2015 (9) TMI 1448X X X X Extracts X X X X X X X X Extracts X X X X ..... the sake of convenience, we are dealing with the ITA NO. 2105/DEL/2014 (AY 2008-09). The grounds raised in the assessment year 2008-09 read as under:- 1(i). That on the facts and circumstances of the case, the Ld. CIT(A) was not justified in confirming the order of the AO regarding closure of the business without appreciating facts and written submission of the appellant. (ii) That finding about closure of the business is illegal, arbitrary and without appreciating the facts and legal principles. 2(i) That the claim of expenses were in respect of the existing business and there being no dispute about the genuineness of the claim, orders of the lower authorities in rejecting the claim are without any legal and factual basis. (ii) That al ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... business is illegal, arbitrary and without appreciating the facts and legal principles. In order to support his contention he stated that the claim of expenses were in respect of the existing business and there being no dispute about the genuineness of the claim, all the claims of expenses are relating to year under reference and claim being in accordance with mercantile system of accounting, hence, there is no basis for disallowance of the same. Therefore, he requested that the order of the Ld CIT(A) may be set aside. 4. On the other hand, Ld. Sr. DR, Sh. Sudhiranjan Senapati, has relied upon the order of the Ld. CIT(A). 5. I have heard both the parties and perused the records, especially the order of the Ld. CIT(A). For the sake of conv ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... siness. And there is no business receipt during the financial year. The appellant pleaded hope for revival of the business and justified the claim of expenses. 1.3 The appellant has relied upon a number of case laws in support of the contention. 1.4 I have carefully considered the submission filed by the appellant, the facts of the case and the legal position of the issue. The claim of assessee that it had to spend lots of expenses to-resume the lottery business is devoid of merit for the reason that not only in the instant year but subsequent also no such business has been resumed. The assessee itself has submitted .a letter dated 20.11.2008, a reference of which has been made in the order of assessment, from the lotteries, branch of F ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... contention of the appellant is rejected and the grounds raised in appeal are dismissed." 6. After hearing both the parties and perusing the aforesaid finding of the Ld. CIT(A), I find considerable cogency in the assessee's submissions made before the Ld. CIT(A) that the assessee is a partnership firm and income under the head business has been computed at NIL and there is no case of any tax liability. The AO has made disallowance of claim of expenses on the ground that no business activities has been carried out during the year under reference. I also find from the record that the assessee is engaged in the business of lotteries and the business has never been closed or discontinued, as stated by the Ld. Counsel of the assessee. The firm ..... X X X X Extracts X X X X X X X X Extracts X X X X
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